Zacks Investment Research lowered shares of Deere & Company (NYSE:DE) from a strong-buy rating to a hold rating in a research note issued to investors on Tuesday morning.
According to Zacks, “Deere projects net income of $1.4 billion in fiscal 2017. It stands firm its commitment to reduce structural costs by $500 million by fiscal 2018 through indirect and direct material cost reduction, reduced headcount and other initiatives. In the long term, the company stands to gain from favorable trends, supported by increasing population and rising living standards. Further, focus on investments in new products and geographies remain tailwinds. The Deere stock has thus outperformed the Zacks sub industry, over the past one year. However, low commodity prices and stagnant farm income will continue to dent Deere’s equipment sales in 2017.”
A number of other brokerages have also issued reports on DE. Berenberg Bank assumed coverage on shares of Deere & Company in a report on Tuesday. They issued a sell rating and a $90.00 price objective for the company. Vertical Research raised shares of Deere & Company from a sell rating to a hold rating in a research note on Friday, January 6th. Aegis reaffirmed a hold rating and set a $110.00 target price on shares of Deere & Company in a research note on Thursday, January 19th. TheStreet raised shares of Deere & Company from a hold rating to a buy rating in a research note on Wednesday, November 23rd. Finally, Wells Fargo & Company reaffirmed an outperform rating and set a $121.50 target price (up previously from $101.50) on shares of Deere & Company in a research note on Monday, November 28th. Five research analysts have rated the stock with a sell rating, fourteen have given a hold rating and eleven have assigned a buy rating to the company’s stock. The company currently has a consensus rating of Hold and an average price target of $94.73.
Deere & Company (NYSE:DE) traded up 0.3508% on Tuesday, reaching $108.0477. 784,482 shares of the company’s stock were exchanged. Deere & Company has a one year low of $72.86 and a one year high of $108.47. The stock has a market cap of $34.24 billion, a price-to-earnings ratio of 22.4631 and a beta of 0.78. The firm has a 50 day moving average of $104.05 and a 200-day moving average of $90.10.
Deere & Company (NYSE:DE) last announced its quarterly earnings data on Wednesday, November 23rd. The company reported $0.90 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.40 by $0.50. Deere & Company had a net margin of 5.72% and a return on equity of 21.97%. The firm earned $6.52 billion during the quarter. During the same period in the prior year, the company posted $1.08 EPS. The company’s revenue for the quarter was down 4.8% compared to the same quarter last year. Equities research analysts forecast that Deere & Company will post $4.50 EPS for the current fiscal year.
The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, February 1st. Investors of record on Friday, December 30th will be given a $0.60 dividend. The ex-dividend date is Wednesday, December 28th. This represents a $2.40 dividend on an annualized basis and a yield of 2.23%. Deere & Company’s dividend payout ratio (DPR) is 49.90%.
In related news, insider Max A. Guinn sold 36,402 shares of Deere & Company stock in a transaction on Friday, November 25th. The shares were sold at an average price of $102.94, for a total value of $3,747,221.88. Following the transaction, the insider now directly owns 55,427 shares in the company, valued at approximately $5,705,655.38. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider James M. Field sold 49,964 shares of Deere & Company stock in a transaction on Thursday, December 1st. The shares were sold at an average price of $101.67, for a total transaction of $5,079,839.88. Following the completion of the transaction, the insider now owns 96,855 shares in the company, valued at $9,847,247.85. The disclosure for this sale can be found here. Over the last quarter, insiders sold 104,980 shares of company stock worth $10,622,568. 0.75% of the stock is currently owned by insiders.
A number of large investors have recently added to or reduced their stakes in DE. LS Investment Advisors LLC increased its stake in Deere & Company by 1.0% in the second quarter. LS Investment Advisors LLC now owns 15,351 shares of the company’s stock worth $1,244,000 after buying an additional 157 shares during the period. Bank of Montreal Can acquired a new stake in Deere & Company during the second quarter worth approximately $21,805,000. Strs Ohio increased its stake in Deere & Company by 0.5% in the second quarter. Strs Ohio now owns 209,403 shares of the company’s stock worth $16,970,000 after buying an additional 1,128 shares during the period. Candriam Luxembourg S.C.A. increased its stake in Deere & Company by 12.6% in the second quarter. Candriam Luxembourg S.C.A. now owns 21,840 shares of the company’s stock worth $1,770,000 after buying an additional 2,451 shares during the period. Finally, Aviance Capital Management LLC increased its stake in Deere & Company by 5.6% in the second quarter. Aviance Capital Management LLC now owns 5,952 shares of the company’s stock worth $482,000 after buying an additional 318 shares during the period. 72.03% of the stock is owned by institutional investors.
About Deere & Company
Deere & Company is engaged in equipment operations and financial services. The Company operates through three business segments: agriculture and turf, construction and forestry, and financial services. The Company’s agriculture and turf segment primarily manufactures and distributes a full line of agriculture and turf equipment and related service parts.
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